New York eligibility for Direct File

You may be eligible to use Direct File for New York State if:

• you and your spouse (if applicable) are a full-year resident of New York State
• you and your spouse (if applicable) are a full-year resident of New York City

You will not be able to use Direct File for New York State if any of the following applies to you:

• you are a nonresident or part-year resident of New York State
• you are a part-year resident of New York City
• you are a full-year or part-year resident of Yonkers

You may be eligible to use Direct File for New York State if you are using the standard deduction for New York State.

You will not be able to use Direct File for New York State if you itemize deductions for New York State.

You may be eligible to use Direct File for New York State if you are claiming any of the credits listed below:

• Empire State child credit
• New York State earned income credit, New York City earned income credit (not including New York State noncustodial parent EIC), or both
• New York City school tax credit
• New York State household credit, New York City household credit, or both

You will not be able to use Direct File for New York State if you are claiming any other credits.

You may be eligible to use Direct File for New York State if:

• your New York State filing status (single, married filing jointly, and so on) is the same as your federal filing status
• you are filing on behalf of a deceased spouse

You will not be able to use Direct File for New York State if any of the following applies to you:

• your filing status is married filing jointly and your spouse has a different New York City residency (both spouses must be either full-year New York City residents or full-year New York City nonresidents to use Direct File for New York State)
• your New York State filing status is different than your federal filing status
• you are filing on behalf of a deceased taxpayer who was not your spouse

You may be eligible to use Direct File for New York State if based on your filing status, your income is:

• Single: $200,000 or less, or $160,200 or less if you had more than one employer
• Head of household: $200,000 or less, or $160,200 or less if you had more than one employer
• Qualifying surviving spouse: $200,000 or less, or $160,200 or less if you had more than one employer
• Married filing joint return: your combined income is $250,000 or less, and neither you nor your spouse had income of more than $200,000 ($160,200 if the individual had more than one employer)
• Married filing separate return: $125,000 or less

You will not be able to use Direct File for New York State if any of the following applies to you:

• you earned income in Yonkers
• you have any of the following income:
  • ordinary dividends
  • taxable refunds, credits, or offsets of state and local income taxes
  • alimony received
  • business income or loss
  • capital gain or loss
  • other gains or losses
  • taxable amount of IRA distributions
  • taxable amount of pensions and annuities
  • rental real estate, royalties, partnerships, S corporations, trusts, and so on
  • farm income or loss
  • other income
• you have interest income of more than $1,500
• you need to amend your New York State return

You may be eligible to use Direct File for New York State if you are reporting the additions for public employee 414(h) retirement contributions from your wage and tax statements.

You will not be able to use Direct File for New York State if any of the following applies to you:

• you have a New York State addition or subtraction that would require you to file Form IT-225, New York State Modifications (see its instructions for a list of New York State modifications reported on Form IT-225) 
• you have to report one of the following additions or subtractions on Form IT-201:
  • subtractions for retirement income
  • NYS 529 plan contributions or distributions
  • addition for interest income on state and local bonds
  • subtraction for interest income earned on U.S. Government bonds

You may be eligible to use Direct File for New York State if you do not have to claim an underpayment of estimated tax on the New York State return you are filing.  

You will not be able to use Direct File for New York State if you owe penalties on the New York State return you are filing.

You may be eligible to use Direct File for New York State if you are not claiming any special condition codes on your return.

You will not be able to use Direct File for New York State if you use any of the following special condition codes:

• extension of time to file beyond six months (E5)
• nonresident noncitizens (E4)
• out of the country (E3)
• combat zone, killed in action (KIA) (K2)
• combat zone (C7)
• Build America Bond interest (A6)
• death of spouse (D9)
• Veterans Benefits and Transition Act of 2018 election (M4)
• request an installment payment agreement (C2)
• losses from Ponzi-type fraudulent investment arrangements (56)

You will not be able to use Direct File for New York State if any apply:

• you are subject to metropolitan commuter transportation mobility tax (MCTMT)
• you participate in the New York City flexible benefits program (IRC 125) established by New York City or certain other New York City public employers (your employer is required to report any amounts deducted or deferred from your salary for the New York City flexible benefits program in box 14 of your federal Form W-2)
• you would like to make New York State voluntary contributions.